US Bank continues to offer a special 59-month CD with a competitive rate of 4.00% APY. What they list on their website is only 3.75% APY. However, I noticed this 4.00% APY being advertised in this 4/12/09 SoCal ad and in this 4/10/09 St. Louis ad. It's also listed online as of 4/12/09 at PFF Bank & Trust and at Downey Savings. Both of those banks were recently acquired by US Bank after they were placed into FDIC receivership. Another special CD also listed in California is fairly competitive. It's a 2.30% APY 13-month CD. It's only 2% APY in St. Louis, but this is higher than what's listed at US Bank's website. If you find US Bank is offering higher CD rates in your area than what's listed at US Bank's website, please leave a comment.
As I mentioned in this February post on US Bank CDs, US Bank has a harsh early withdrawal penalty which can be 29.5 months of interest for this 59-month CD. The average long-term CD penalty is only around 6 months of interest. A reader mentioned being told that CDs opened at Downey Savings branches will have Downey's early withdrawal penalty which is only 6 months of interest. However, another reader commented that he was told that US Bank's early withdrawal penalties will revert to US Bank's terms upon Downey's conversion to US Bank in May. If you open this CD at Downey Savings, I would recomend getting the early withdrawal penalty in writing before opening the CD, which is a good idea for any CD.
US Bank has branches in several states including California, Arizona, Washington, Colorado, Illinois, Missouri and Ohio. Downey Savings branches and PFF Bank & Trust branches are located throughout Southern California.
Its ratings for safety and soundness are good: 3.5 stars (good) at BauerFinancial (based on 12/31/08 data) and 4 stars (sound) at Bankrate.com (based on 9/30/08 data).
US Bancorp is the holding company for US Bank N.A. and US Bank N.A North Dakota. Both banks have separate FDIC charters, but US Bank N.A is the main one for deposits with $147.6 billion in deposits. US Bank has been FDIC insured since 1934 (FDIC Certificate # 6548).
Other High Certificate of Deposit Rates
For top CD rates nationally available, refer to my weekly rate summary. Many of the best CD deals are only locally available. To find the best deals in your state, refer to the index of state CD and bank deals.